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    RIR POWER ELECTRONICS Q1 FY27 earnings call

    RIR
    Capital Goods·13 Aug 2026
    Management Summary

    RIR Power Electronics Limited reported a strong Q1 FY27, with revenue growing 29.3% YoY to ₹27.16 crores and EBITDA reaching ₹3.98 crores. Progress on the Odisha manufacturing facility is on track, with epitaxy operations anticipated to begin by the end of Q2 FY27. The company also expanded its international presence with a new overseas order and aims for long-term EBITDA margins of 15-17%, though geopolitical factors remain a watch item for margin sustainability.

    Highlights

    5

    • Revenue increased by 29.3% year-on-year to ₹27.16 crores, demonstrating strong top-line growth.

    • EBITDA for the quarter was ₹3.98 crores, translating to a healthy EBITDA margin of 14.65%, reflecting improved operating performance.

    • The Odisha manufacturing facility is progressing well, with power infrastructure complete and machinery installation nearing completion, targeting epitaxy operations by end of Q2 FY27.

    • The company secured its first overseas order for 120 units of 125 mm 5 kV SCR thyristors, strengthening its international footprint.

    • RIR Power Electronics was listed on NSE on July 16, 2026, expected to enhance liquidity and visibility.

    Concerns

    2

    • Sustainability of improved EBITDA margins is dependent on geopolitical issues and raw material price stability, which are not entirely within the company's control.

    • The bank loan facility for the remaining Phase 1 CAPEX is still awaiting final sanction, though in-principle approval has been received.

    Key financials

    Single quarter

    04 metrics
    1. 01Revenue₹27.16 Cr+29.3%YoY
    2. 02EBITDA₹3.98 Cr
    3. 03EBITDA Margin14.7%
    4. 04EPS₹0.39

    Order Book

    low confidence

    Composition

    125 mm 5 kV SCR thyristors(product)
    120 numbers

    "The company secured its first overseas order for 120 units of 125 mm 5 kV SCR thyristors, but no overall order book value or inflow was quantified."

    Source:
    Prepared remarks

    Capital allocation

    2
    high confidence
    CategoryHeadline
    Capex

    ₹100 crores

    new plan — initial FY27 plan for Odisha Phase 1

    Debt

    Debt disclosed

    Guidance & targets

    8
    CategoryTargetPriority
    Revenue
    Quarterly Revenue (Halol plant)
    Rs. 30 plus crores
    		Medium
    Revenue
    Topline Growth (Company)
    at least 3 to 4 times
    		Medium
    Revenue
    Epi Wafer Sales (Odisha plant)
    Rs. 12 crores to Rs. 15 crores
    		High
    R&D
    R&D Spend as % of Revenue
    8%-10%
    		High
    Profitability
    EBITDA Margin
    15%-17%
    		Medium
    Profitability
    Bottomline Growth (Company)
    even more than 3 to 4 times
    		Medium
    Profitability
    Epi Wafer EBITDA Margin
    20%-25%
    		High
    Production
    Epitaxial Wafer Yield (Odisha plant)
    85%
    		High

    What to watch in Q2 FY27

    5

    Odisha Plant Power Connection

    next quarter
    CurrentTransformer charged, power expected in 1-2 days
    TargetPower fully connected and stable

    Why it matters

    Essential for commencing operations at the new manufacturing facility.

    Further, the transformer is also charged yesterday by the authorities, and we will be able to draw the power in next 1 or 2 days.

    Risks & concerns

    3
    RiskSeverity

    Geopolitical issues impacting raw material prices and margins

    West Asia disturbances led to increased raw material prices in Q4 FY26, impacting margins. Q1 FY27 saw recovery through price pass-through and cost control, but future sustainability depends on external geopolitical factors. — Management acknowledged

    medium

    Competition in product development

    Management refrained from disclosing exact product development details due to competitive reasons. — Management acknowledged

    low

    Yield losses in epitaxial wafer production

    While targeting 85% yield for epi wafers, some dicing and curve losses are uncontrollable, though defect-side control is a focus. — Management acknowledged

    low

    Q&A highlights

    8

    “I think this year, we will be able to easily cross about Rs. 30 plus crores per quarter.”

    Analyst inquired about a higher revenue target (Rs. 50cr), and management provided a more conservative, yet specific, near-term target for the existing Halol operations.

    asked by Prateek Giri

    2 min read6 chapters

    Detailed Narrative

    01

    Q1 FY27 Financial Performance Overview

    RIR Power Electronics Limited commenced Q1 FY27 with robust financial results, reporting a revenue of ₹27.16 crores, marking a significant year-on-year growth of 29.3%. The company's operating performance also saw substantial improvement, with EBITDA reaching ₹3.98 crores. This translated to an EBITDA margin of 14.65% for the quarter. Earnings per share stood at ₹0.39, reflecting the enhanced profitability.

    02

    Odisha Manufacturing Facility Progress

    The development of the Odisha facility is advancing as planned, with Phase one focusing on epitaxy and packaging. The clean room construction for epitaxy is complete, and the 33 kV power line infrastructure has been established, with the transformer recently charged. Power is expected to be fully available within 1-2 days. Plant and machinery installation is projected to conclude by mid-September, with epitaxy operations anticipated to commence by the end of Q2 FY27. The facility plans to generate initial revenue by selling epi wafers and outsourcing SiC device manufacturing for validation.

    03

    Strategic Initiatives and Market Positioning

    The company has undertaken several strategic initiatives, including its listing on the National Stock Exchange on July 16, 2026, aimed at boosting liquidity and investor visibility. Board governance was strengthened with the appointment of Mr. Vivek Patel as an Independent Director, and Mr. Ankit Shah was elevated to Chief Financial Officer. RIR also expanded its international footprint by securing its first overseas order for 120 units of 125 mm 5 kV SCR thyristors and showcased its railway power electronic solutions at RailTrans Expo 2026.

    04

    R&D Focus and Product Development

    RIR Power Electronics maintains a strong commitment to research and development, with a long-term investment target of 8%-10% of revenue. The R&D efforts are concentrated on high-voltage industrial and grid applications, with specific advancements in optical triggering technology for 5kV systems, aiming for 8kV. The company is currently prioritizing Silicon Carbide (SiC) technology, believing it will capture the power side of the Gallium Nitride (GaN) market within the next three years due to ongoing advancements in SiC epi and device processing.

    05

    Capital Expenditure and Funding Plans

    The total expected CAPEX for the Odisha plant is ₹618 crores, with Phase 1 estimated at ₹225 crores and Phase 2 at ₹395-400 crores. For FY27, the company anticipates a CAPEX of ₹100-120 crores for Phase 1. Government subsidy has contributed ₹58 crores, with the company's contribution around ₹70 crores. A bank loan application for ₹70 crores has been submitted to cover the remaining Phase 1 CAPEX, with in-principle approval received and final sanction expected soon.

    06

    Profitability and Margin Outlook

    The company's EBITDA margin improved in Q1 FY27, primarily due to successful pass-through of increased raw material costs (copper, gold, silver) and enhanced cost control measures. Management's long-term aim is to achieve EBITDA margins in the range of 15%-17%. However, the sustainability of these margins remains partially dependent on external geopolitical factors. For the new Odisha plant, epi wafer sales are projected to generate ₹12-15 crores in revenue during H2 FY27, with an anticipated EBITDA margin of 20%-25% for epi wafers.

    This is an AI-generated summary of a publicly available earnings call transcript.